The Rita’s Italian Ice franchise has a relatively high SBA loan default rate of 23%.
The Rita’s Italian Ice franchise system was sold to private equity group McKnight Capital Partners in 2005. Then in late 2011, investment firm Falconhead Capital bought a controlling interest.
Nearly a quarter of the Rita’s Italian Ice franchise owners who received SBA loans, some of whom may have collateralized their franchise loan with their house or other personal assets, were unable to repay those franchise loans… despite serious incentive to do so.
According to Entrepreneur magazine, the Rita’s Italian Ice franchise system has maintained its size, with 540 U.S. franchises in 2008 and 544 in 2011. However, that doesn’t mean that franchises didn’t fail during that period (and were replaced by new franchisees) or that Rita’s franchises weren’t resold at a loss to new owners.
Are you familiar with the Rita’s Italian Ice franchise opportunity?
What do you think accounts for the SBA loan failure rate of Rita’s Italian Ice franchise owners?
What steps should Rita’s Italian Ice and Falconhead Capital be taking to stop further franchise failures?
Please share a comment, opinion or insight below.
ARE YOU A RITA’S ITALIAN ICE FRANCHISE OWNER OR FORMER RITA’S ITALIAN ICE FRANCHISEE? ARE YOU FAMILIAR WITH THE RITA’S ITALIAN ICE FRANCHISE OPPORTUNITY? PLEASE SHARE A COMMENT BELOW.
Tags: Rita’s Italian Ice, Rita’s Italian Ice franchise, Rita’s Italian Ice complaints, italian ice franchise, water ice, frozen dessert franchise, food franchise, franchise failure rate, worst franchise, sba failure rates, SBA franchise loans, franchise information, unhappy franchisee, Falconhead Capital
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WHY DOESN'T THE RITA'S IN FLANDERS N.J. EVER HAVE LEMON?
my friend and i are compleatly unhappy with your false advetising . As it says in your website open at 11:30 am durning the week we arice her at on time and the doora were locked. We noticed on your sign it says open at 12:00 at the beelin nj location on white horse pike. You need to update youre information
my address
[redacted]
08091
thank you
jillian huges
so I spend a lot money every week on ritas and I finally get a buy one get on free coupon so I order 2 qts then when I pay they say its not good for qts.,.. it does not says that no where on the coupon b.s I tell u what cant lose a whole 4 dollors very unhappy
I received a birthday coupon but when I went to print it out it wouldn't let me. It said I already viewed it so I can't print it. Please email my coupon. Thank you, Jean Curiotto [redacted]. I go to the Rita's in Pequannack, NJ.
I am so sick & tired of going to Rita's on Markley st in Norristown pa & they never ever have cheese pretzels why is that? They can't possibly sell out every single day at all different times
Markley st Rita's in Norristown PA needs to have cheese pretzels they never do & its so annoying
I was at the Toms River NJ RT 9 Location. I saw an employee picking his nose. I thought he was a small high school kid.. Little did I know someone told me he was the owner.Of course he filled an order after playing in his nose.. What a slob.
Visited Rita's for Mothers Day in Selinsgrove PA the ice was terrible. was like juice could drink it! Very disappointed spent $9 and will think twice when my granddaughter wants Rita's again
The ritas in Mount Laurel on rt 38 their employees are straight up rude, thats the last time im going there, they have the worse customer service, slam things shut and just terrible.
I went to my rita's in Salisbury md to get my son and I some ice cream the manager rung me up she had charged my credit card for 69 dollars and I went back to complain the manager gave me a full refund the on the 27th when it posted back on my card I was charged another 21 dollar so I go back to rita's and there's no management there so the girl Calles the owner and the owner gets on the phone and yells at me and tells me it's impossible for rita's to have charged my card twice as I'm showing the cashier where it posted on my credit card the way I was treated by the so called owner of rita's is sickening when it's clearly not my fault I feel like this is a scam they have running